The insurance settlement process

When your vehicle has been involved in a severe accident and the cost to repair is higher than the value of the vehicle, it is deemed a total loss by the insurance company. If a vehicle is stolen and not recovered, it is also deemed a total loss. Both these cases can be quite traumatic and exasperating for the policyholder.

Insurers are required to compensate the policyholder with a cash settlement in the amount equal to the actual cash value (ACV) of what their vehicle was worth. By law, this ACV is supposed to represent a fair market value for the original vehicle, in the condition it was in prior to the loss, not necessarily the cost to replace it with an alternate vehicle.

However, since there are seldom any identical vehicles to compare to, disputes may arise as to what the vehicle is really worth?

Automall Network Professional Opinion

Once you believe your vehicle will be written off by your insurance company, call Automall Network. We will quickly provide you with an independent Professional Opinion report of what your vehicle was worth so you are prepared when your adjuster calls with the settlement amount.

To ensure it is neutral data, we will ask that you obtain a copy of the insurer's appraisal report and ensure that you agree with their assessment of options and condition of your vehicle.

We will then ask that you to black out their values before sending it to us, so that our opinion is not influenced in any way.

One of three possible outcomes will then occur:

1. the adjuster's settlement value will be lower than our Professional Opinion
   • some insurance companies will honour our price without conflict. Some will also reimburse you for our fees

2. the adjuster's settlement value will be the same as our Professional Opinion
   • you will have peace of mind that your settlement represents actual market value
   • some insurance companies will reimburse you for our fees

3. the adjuster's settlement value will be higher than our Professional Opinion
   • your insurance company will have given you more than the actual market value of the vehicle
   • some insurance companies will also reimburse you for our fees
   • don't worry, once an insurer gives you a settlement offer, they won't reduce it just because our value was lower
   • you are free to take the extra money and we can replace the vehicle for the value quoted, hence you can keep the difference